PM Surya Sarovar Yojana approved by Union Cabinet
New Delhi, July 31: The Pradhan Mantri Surya Sarovar Yojana (PM-SSY), which is aimed at developing floating solar photovoltaic (FSPV) projects integrated with energy storage systems, was approved by the Union Cabinet today with the total financial outlay of Rs 5,070 crore.
Under the scheme, the government plans to develop 5,000 MW of floating solar capacity with co-located energy storage systems having a minimum storage capacity of two hours, equivalent to 10,000 MWh.
The projects will be sanctioned between FY 2026-27 and FY 2030-31, while financial support will continue until FY 2032-33.
The approval comes after an assessment by the National Institute of Solar Energy (NISE), which estimated India’s floating solar potential at around 102.18 GWp across reservoirs and other suitable inland water bodies.
The scheme will provide Central Financial Assistance (CFA) of Rs 1 crore per MW for eligible floating solar projects after successful commissioning. Additionally, financial support of up to Rs 50 lakh per project will be available for feasibility studies, including bathymetry, hydrography, environmental assessments and other preparatory activities.
The government said the initiative will help expand India’s floating solar capacity, which currently stands at around 700 MW, while enabling better utilisation of reservoirs and industrial ponds without competing for land resources.
The integration of energy storage systems is expected to improve grid stability and reliability.
The scheme is projected to reduce around 10 million tonnes of carbon dioxide emissions annually and generate approximately 16,000–17,000 full-time equivalent employment opportunities across the project value chain.
The initiative will also promote domestic manufacturing of floating structures, photovoltaic cells, modules and energy storage systems, supporting the government’s Aatmanirbhar Bharat push.
